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Starting a vending machine business can be a very lucrative and rewarding venture. But before diving into the world of vending machine businesses though, it's important to familiarize yourself with everything you need to operate and maintain your machines effectively.
Having the proper equipment is essential for not only optimizing profits but also for maintaining your equipment and keeping customers satisfied.
In this article, we’re going to cover the most important pieces of equipment you’ll need to succeed as a vending machine business owner.
The 10 most important pieces of equipment you'll need for your vending machine business are:
A hand truck is by far the most essential piece of equipment for your vending machine business. You’ll be using your hand truck every time you visit a location to restock your machines. As such, it's crucial to invest in a high-quality hand truck that is durable, reliable, and easy to maneuver.
When selecting a hand truck, consider one with a convertible design. Convertible hand trucks allow you to effortlessly transform them into a cart, making it easier to transport soda, snacks, and other inventory to and from your vending machines. This versatile feature streamlines the process of restocking your machines, reducing time spent on each stop along your route.
Additionally, when choosing your hand truck, prioritize models with sturdy construction and reliable wheels. A high-quality hand truck will not only last longer but also make your job safer and more efficient. Look for features such as puncture-resistant tires and robust materials to ensure the hand truck can withstand heavy loads and daily usage.
If you’re interested in reading more, we have a more indepth article on hand trucks, which you can find here
There are a lot of good hand trucks out there, but this has been our go-to:
Not only is it extremely reliable, but it is extremely affordable as well.
You can buy it here.
As a vending machine business owner, you'll need a proper storage system for your inventory. You’ll be bringing a lot of snacks and beverages into establishments, so having good product storage is essential.
Some vendors will just bring entire boxes of product into establishments. We’re not a fan of this for 2 reasons:
You’re much better off putting your product into storage bins and carrying them into establishments that way. This is known as Pre-Kitting.
When Pre-kitting, you want to use durable bins that can store a lot of product. Construction and industrial tote bins work great for this.
These are the bins we recommend using. They are durable, secure, and have a high capacity.
You can find them here: https://amzn.to/48YFaIf
Chocolate can be a challenging product to manage in your vending machine business. You need to take extra measures to ensure proper temperature control.
If conditions are too hot, the chocolate will melt.
But if it’s too cold, the chocolate will end up getting the Bloom. Most customers will give you a problem if they see this, so you want to avoid it at all costs.
The best way to enforce temperature control when dealing with chocolate is to use a cooler. Storing a chocolate this way will reduce exposure to hot and cold temperatures.
This is the type of cooler we recommend:
You can find it here: https://amzn.to/3Sa7roi
If you’re doing a full route that has you working full time hours (about 8 hours a day), you should also consider getting a bigger cooler to keep your chocolate in while you travel from location to location.
We recommend something like this:
You can find it here: https://amzn.to/3OcBUkJ
Basic hand tools, such as screwdrivers, wrenches, and pliers, are a must-carry for any vending machine operator.
During your work in the vending machine business, you will occasionally run into occasions where you will need to do some physical work on the machine. This can involve anything from tightening a few screws to having to completely remove & replace parts. The good news is that most repairs are small and you will rarely need to do anything more complicated than tightening a few nuts & bolts.
Carrying a small toolbox with you when servicing your machines will allow you to do minor repairs as needed, preventing possible downtime and lost revenue.
This is the toolset we recommend. It has everything you’ll need to keep your machines in good shape while also being extremely portable.
Buy it here: https://amzn.to/4apQoX9
In your vending machine business, having a spare coin mech is essential. Most machine errors with not accepting coins & cash are attributed to a coin mech that needs servicing. When facing such issues, a spare coin mech offers a quick solution by allowing you to replace the problematic coin mech until it gets fixed.
Coin mechs are responsible for validating and directing coins into the appropriate change tubes within the vending machine. They are subjected to constant use, which means dirt and grime can accumulate on the coin tracks, leading to jams or improper functioning. Having a spare coinmech ensures that your business won't suffer from extended downtime due to malfunctioning equipment.
You can find a spare coinmech at your local vending machine warehouse. You can also find good deals for coinmechs from other vendors on sites like Craigslist or Facebook Marketplace.
This is not something we recommend purchasing online unless you have complete trust in the website you’re buying from. You will need to look over the mechanism and make sure it’s in working order before making a purchase, and buying online prevents you from doing this successfully.
When starting your vending machine business, one essential equipment you need is money bags. These bags play a crucial role in keeping your cash and coins organized, secure, and easy to transport between machines and your cash storage location.
Why Money Bags are Essential
As a vending machine business owner, you will be frequently handling cash and coins collected from your machines. It can become cumbersome and time-consuming to carry loose change without proper organization. Money bags help you streamline and simplify this process. They come in different types and sizes, allowing you to choose the ones that suit your needs best.
Selecting Appropriate Money Bags
Here are some factors to consider when selecting money bags for your vending machine business:
If you’re starting out, we recommend using money bags such as this:
You can purchase these money bags here: https://amzn.to/4akKw1f
As your vending machine business continues to grow and you secure bigger locations, you should absolutely be using money bags with a lock.
We recommend something like this:
These bags are VERY secure and durable. Great for storing significant amounts of cash and coins.
You can find these bags here: https://amzn.to/3Tjflwd
In the vending machine business, it's essential to have a garbage bag on hand. This is because, as you maintain and restock your vending machines, you'll encounter stales - products that are past their "best before" date.
Stale products should never be left for customers to purchase, as it can tarnish your business's reputation and even lead to potential health issues for the consumer.
While cleaning and restocking your machines, keep a garbage bag with you to collect these outdated items. This will help keep your vending machines clean and ensure that customers are only purchasing fresh, high-quality products. Additionally, proper disposal of stales can help you maintain a healthy inventory turnover, keeping your stock at the optimal level.
You can find appropriate garbage bags at pretty much every hardware or department store. Alternatively, Amazon has a 50 pack of reliable garbage bags that you can find here: https://amzn.to/3PnOHBj
Regular maintenance of your vending machine business equipment is essential to ensure smooth operation and a longer lifespan. One crucial aspect of maintenance is lubrication. Lubricants help reduce friction and wear on various moving parts, from hinges to glass fronts. Though the motors of a vending machine itself have enough lubricant and should not be touched, other parts of the machine need occasional attention. In this section, we will discuss two common lubricants suitable for vending machine maintenance: WD-40 and Food Grade Silicone Spray.
WD-40 is a well-known, versatile lubricant that can help maintain your vending machine equipment. It serves multiple purposes, such as cleaning, protecting, and lubricating various parts. When using WD-40, be sure to apply it sparingly and only on the components that require lubrication, keeping in mind the following points:
We recommend using WD-40 to lubricate the parts of your machine that do not necessarily come into contact with products. Some parts include the cage of your drink machine, hinges on the front, etc.
We do NOT recommend using it on any electrical parts such as the motherboard or keypad. Doing this can and will cause damage to your machine.
You can find WD-40 at your local Wal-Mart or Hardware store.
Alternatively, you can buy it online at Amazon here: https://amzn.to/3IHrfve
For areas of the vending machine that come into contact with food or consumable products, using a food grade silicone spray is essential. This lubricant is non-toxic, odorless, and safe for use on equipment that handles food items. Some key considerations and benefits of using a food grade silicone spray include:
Another essential application for lubricant is in glass front drink machines that use a robot arm to retrieve drinks for paying customers. While they can be very aesthetic and versatile, they do have a reputation for having drinks getting stuck in the glass. Spraying the glass with food grade silicone spray will reduce the rate at which this happens.
This is the Food Grade Silicone Spray for vending machines that we recommend:
You can buy it here: https://amzn.to/48XLjnt
By regularly maintaining your vending machine equipment and using the appropriate lubricants, you can ensure a longer-lasting and more efficient operation.
Cleaning supplies are an essential thing to have with you as a vendor. A clean vending machine is not only more likely to attract more sales, but will also help you maintain a good reputation with establishment owners.
Vending Machines that are not regularly cleaned also run into problems of their own, such as:
You should be carrying a box of cleaning supplies with you whenever you’re visiting a location.
Some of the supplies you should always be carrying include:
You can find all of these equipment at your local hardware or department store. Alternatively, you can visit the Amazon links we’ve included above if you prefer shopping online. The products we have included are all products that we either use ourselves or would have used.
A small vacuum cleaner is important to have in your vending machine business. While it will help with keeping your Vending Machines clean, the real reason to have a vacuum cleaner is to reduce the risk of damage to your equipment.
An excessive amount of dust and dirt can cause damage to the motherboard of your machines which can lead to a shorter life expectancy.
Additionally, it can cause the compressors of your drink machines to blow. We’ve spent over $3000 in repairing compressors that have blown from excessive dust, so we cannot recommend getting a vacuum cleaner enough.
Look for a hand vacuum cleaner that’s cordless and rechargeable. Since you’re moving from location to location and vacuuming small areas, we don’t recommend a shopvac or a bigger vacuum that you would have to plug in to use.
This is the one we recommend:
You can buy it online here: https://amzn.to/3x0TyC7
We hope you found this article on essential equipment helpful in your journey as a successful vending machine business owner.
For more guides and articles on the vending machine business, click here to visit our blog.
If you’re a business owner in Toronto or the surrounding areas and would like vending machines at your, click here to contact us.
Chocolate blooming is a less talked about challenge you may encounter in the vending machine business.
This is when chocolate develops a whitish cast on the surface. While not harmful, it is commonly mistaken for mold and may deter customers. Understanding the nature of chocolate bloom is essential for maintaining the quality and appeal of your offerings.
In this article, we cover what the bloom is exactly and how you can prevent it.
Chocolate bloom is a common issue that can affect the appearance and texture of chocolate. By identifying what chocolate bloom is and learning about its types, you can better prevent it from occurring.
Chocolate bloom refers to a white or grayish coating that can form on the surface of chocolate. This is not a sign of spoilage, but rather an indication that the fat or sugar within the chocolate has crystallized. Although bloom affects the aesthetics and texture, bloomed chocolate is still safe to eat.
There are essentially two types of chocolate bloom:
When you encounter chocolate bloom, it's typically manifesting as either fat bloom or sugar bloom, each stemming from distinct conditions.
Fat bloom is the result of cocoa butter separating from cocoa solids and rising to the surface of your chocolate. Here are some specific catalysts:
Sugar bloom, on the other hand, occurs when moisture affects your chocolate. This can be caused by:
When your chocolate develops bloom, it undergoes changes that can affect its quality, particularly in texture and appearance. Understanding these changes helps you maintain the integrity of the chocolate you enjoy.
Bloomed chocolate often exhibits a grainy or crumbly texture which can be noticeable upon consumption. The once smooth and velvety mouthfeel that is characteristic of well-tempered chocolate may feel less pleasant. This happens because when cocoa butter separates and recrystallizes on the surface, the chocolate's structure becomes compromised.
In terms of appearance, bloomed chocolate typically has a dull and mottled look, with white or grey streaks or spots. This cosmetic imperfection is due to either fat or sugar bloom and doesn't indicate spoilage. Fat bloom results from temperature fluctuations causing cocoa butter to rise to the surface, while sugar bloom occurs when moisture dissolves the sugar and then re-deposits it as crystals.
To prevent chocolate bloom, you must focus on the chocolate's crystal structure and its exposure to temperature and humidity.
Tempering chocolate involves careful control of the crystallization of cocoa butter. Ensure that you follow a precise heating and cooling curve. Start by gently heating your chocolate to the correct temperature, which typically varies between 45-50°C (113-122°F) for dark chocolate, and then cool it to about 27°C (80°F). Finally, reheat the chocolate to 31-32°C (88-90°F) for use. This process creates a stable crystalline structure, preventing the fat from rising to the surface and forming a bloom.
Store your chocolate in a cool, dark place, at a constant temperature between 15-18°C (59-64°F). Chocolate should be wrapped tightly to protect it from odors and moisture. To avoid water exposure and other contaminants, you can place your chocolate in an airtight container. This shields the delicate fats from fluctuating temperatures and external odors, which can lead to bloom.
Maintain a low-humidity environment for your chocolate storage since moisture can lead to sugar bloom. Aim for a relative humidity under 50% to prevent the sugar in the chocolate from dissolving and creating a rough surface. Temperature should also be regulated to stay below 21°C (70°F), as higher temperatures can affect the cocoa butter's structure, leading to fat bloom. Use air-conditioning or a dehumidifier to manage the climate around your chocolates.
In the chocolate industry, specific strategies are employed to combat the challenge of chocolate bloom, focusing on both manufacturing processes and packaging techniques.
You'll find that industry leaders invest heavily in temperature control during the chocolate making process. Controlling the temperature is crucial because fluctuations can cause fat or sugar bloom. Conching, a process where chocolate is continuously mixed and aerated, is optimized to ensure a uniform texture, which can be less susceptible to blooming. Additionally, manufacturers may add emulsifiers like lecithin to enhance chocolate stability and reduce the risk of bloom.
To maintain the quality of chocolate after production, packaging plays a vital role. The industry utilizes barrier packaging that minimizes exposure to moisture and temperature variations, two significant factors that contribute to bloom. Innovations such as modified atmosphere packaging (MAP) help in extending the shelf life of chocolate products by replacing the oxygen inside the package with gases like nitrogen that do not react with chocolate.
Understanding chocolate bloom — the whitish coating that can appear on the surface of chocolate — is essential in ensuring you enjoy your chocolate at its best quality. Below are answers to common questions regarding chocolate bloom.
Yes, you can eat chocolate that has bloomed. The bloom is simply a visual alteration and does not make the chocolate unsafe to consume.
To prevent fat bloom, store your chocolate in a cool, dry place away from temperature fluctuations and light. Ensure chocolate is properly tempered before it is cooled and settled.
Chocolate bloom appears as a white or grayish coating on the chocolate's surface, while mold typically exhibits a fuzzy texture and distinct off-colors like green or black. Bloom is also odorless, unlike mold which may have a musty smell.
The primary causes of chocolate bloom are exposure to high temperatures, humidity, and temperature fluctuations, which cause cocoa butter or sugar crystals to rise to the surface.
Sugar bloom feels grainy to the touch and is caused by moisture dissolving and recrystallizing sugar on the chocolate's surface. You can avoid sugar bloom by keeping chocolate wrapped tightly and stored away from moisture.
The time frame for chocolate to show signs of blooming varies depending on storage conditions but can occur within several days if the chocolate is kept in an environment with poor preservation conditions.
Conclusion
We hope you found this blog post informative.
Chocolate Bloom is one of the lesser known issues that arise in vending that can do serious damage to your sales and reputation.
If you enjoyed this post, check out our Vending Blog for more tips and guides on the vending industry.
If you’re a business in Toronto or the surrounding areas and would like to get vending services for your establishment, click here to contact us.
Moving a vending machine is an essential part of the business and can’t be avoided. Even if your business consists of locations with machines already placed, sooner or later you will run into a situation where you'll need to move them.
Some situations where you will need to move a vending machine include:
Moving them can be a challenging task due to the size and weight of a vending machine. It requires careful planning, appropriate tools, and a methodical approach to ensure the safety of both the machine and the individuals involved in the moving process.
In this post, we’ll cover some tips and advice on how to move a machine as safely and efficiently as possible.
If this is your first move and you have little to no experience moving heavy equipment, hire a professional to do it for you.
You can easily damage equipment or injure yourself or others if you’re new to the task.
Before relocating a vending machine, it's essential to prepare it properly to prevent any damage to the machine or injury to the individuals involved in the move. This preparation involves a series of crucial steps designed to ensure the safety of both the equipment and the movers.
Before any physical handling, one must ensure that the vending machine is disconnected from power to avoid electrical hazards. It might seem like a no-brainer, but we have personally seen people try to remove a vending machine from a break room while it was still plugged in. Unplug the power cord and secure it so that it doesn't get caught or cause anyone to trip during the move.
You also want to make sure that all moving parts are secured. This will reduce the risk of damage during moves and make relocating a lot easier. To protect the internal components of the vending machine during the move, they should be secured using screws or strong tape. This includes securing any movable parts inside to prevent them from shifting, which could cause damage. Make sure the machine's doors are also tightly closed and locked, if possible, to avoid them swinging open.
This is a part of moving that gets frequently overlooked. The vending machine must be COMPLETELY EMPTY. Not only can this lighten the load significantly (especially if you’re moving a drink machine), but it will reduce the risk of damage to the machine. Be sure to remove the coin mech, bill acceptor, and card reader (if possible) as well.
Another essential part of the moving process. Arguably one of the most important. Correctly measuring the dimensions of the doorway and the vending machine is critical to ensure it can fit through doorways and into its new location. Height, width, and depth should be recorded, and one should compare these measurements with the entryways and paths the vending machine will need to pass through during the move.
Before attempting to move a vending machine, it is critical to have all the necessary moving equipment on hand to ensure a smooth and safe process. Choosing the right tools and ensuring you have adequate protection will make a significant difference in the moving experience.
Moving a vending machine will involve equipment designed for lifting heavy objects. There are a few different forms of equipment that can be used.
The most common way of moving a vending machine involves using a pallet jack or a pump truck. This is arguably the most efficient way, as it is strong enough to move the machine into place while also requiring the least amount of assistance to maneuver.
Another common way of moving a vending machine involves a heavy duty dolly. You would simply put the machine on top of the dolly and move it accordingly. While it is more mobile than a pump truck, we are personally not a big fan of this method. It is less secure and involves tipping a 500+ lb machine to one side, which can be potentially dangerous.
Some moves will involve stairs. In a situation like this, you would need a special piece of equipment known as a stair climber. Stair Climbers are heavy duty, and you might need special training to be able to use one. But they are EXTREMELY handy when dealing with stairs.
Supplies for protection are equally important as the moving tools. Furniture blankets and moving blankets act as padding to protect the machine from scratches and dings during transit. Secure the padding with straps or packing tape to ensure the blankets stay in place. Additional protective measures such as corner guards can prevent damage to the machine and to doorways.
By gathering the necessary equipment and supplies, individuals or teams responsible for the vending machine's relocation can expect a safer and more efficient move. Properly chosen moving equipment is the cornerstone of any successful vending machine relocation effort.
In preparing for the transportation of a vending machine, careful planning is essential to ensure a smooth move. Adequate assessment of the path, attention to the machine's dimensions, and understanding the structural challenges are key factors to consider.
The first step in the moving process involves a thorough mapping of the path the vending machine will take from its current position to its new location. Measure doorways, corridors, and any other points of passage to confirm the machine's height and width are compatible. Identify obstacles such as permanent fixtures or tight corners that could hinder movement, mapping out alternative routes if necessary.
Navigating through hallways, maneuvering through doors, and dealing with stairs can be challenging. It's crucial to have a detailed strategy for each segment of the move. For hallways and doors, establish a clear path, removing any possible obstructions. You may even have to temporarily remove a door if it’s still obstructing your path while open.
Each step must be planned with precision, employing the proper tools and techniques to conquer the complexities of the transport.
Moving a vending machine requires careful planning and the right techniques to prevent damage and ensure safety. This section covers the essentials for maneuvering and transporting the machine effectively.
Important: make sure the only people handling the machine are the people in charge of the move. If you’re moving at a time where foot traffic is present, do not let anyone near the machine until it’s fully set up. And do NOT ask anyone to help you out at any point of the moving process. Doing this can run the risk of injuries and lawsuits.
Vending machines are typically delivered via 1 of 2 ways:
Both are reliable ways to move a vending machine. If you don’t have a vehicle you can attach a trailer to though, you’ll probably find a truck with a tailgate to be more convenient. You can rent a truck with a tailgate for a day from somewhere like Penske for a very affordable price.
When it comes to moving a vending machine, correct lifting techniques are critical to avoid injury and maintain the balance of the machine. One should always lift from their knees and keep the back straight to reduce strain. Maneuvering the hefty appliance requires multiple people, with one guiding the movement and others supporting the weight, to maintain the center and prevent tipping over.
Once on the dolly or hand truck, it is crucial to secure the vending machine with straps or ropes. During transport, ensuring that the machine is immobilized will prevent any shifting that could cause imbalance or a fall. Proper securing techniques are necessary to keep the vending machine stable throughout the entirety of the move.
Once a vending machine has been moved, it's crucial to ensure it's correctly set up at the new location. This involves precise positioning, connecting to power, and preparing for operation. Each step is vital for the machine to function optimally and serve its purpose effectively.
The machine must be positioned on a flat, stable surface to prevent operational issues. Leveling is critical; an unlevel machine can cause mechanical malfunctions or product dispensing issues. Not just that, but it increases the risk of tipping and falling over. If you’re not sure the machine is level, use a tool such as a bubble level to check horizontal alignment and adjust the machine’s feet accordingly to stabilize its position.
Before plugging in the machine, it's important to restock any products that may have been removed prior to the move. This ensures immediate availability once the machine is back in use. Carefully reconnect the power supply, ensuring the plug fits securely in the outlet and there is no damage to the cord which could pose a safety hazard.
Upon reconnecting the power, perform a thorough test of the machine to check that all features are operational. This should include dispensing products, coin and bill acceptance, and the return mechanism. In case of malfunctions, follow troubleshooting steps such as checking for jams, ensuring proper alignment of vending coils, or consulting the machine’s manual for specific issues.
When moving a vending machine, specific tools and techniques can ensure safety and efficiency. Here, expert insights and practical advice address common concerns.
An individual planning to move a vending machine needs specialized equipment such as a heavy-duty hand truck designed for vending machines, moving straps, and furniture dollies. Additionally, protective blankets can help prevent damage during transport.
To safely transport a vending machine on a dolly, one must first secure the machine with moving straps, ensuring it is balanced and stable. The dolly should be tilted back carefully to distribute the weight evenly before moving.
Moving a vending machine up stairs requires careful planning. One should use a stair-climbing dolly and ensure the path is clear of obstacles. Enlisting the help of additional people is crucial to maintain balance and control during the move.
Any truck with a lift gate and ample space is best suited for moving vending machines. You can either use something like a boxtruck with a tailgate, or a pickup truck that has a liftgate installed. It should have tie-down points to secure the machine during transport and enough payload capacity to handle the weight that ranges between 400 to 900 pounds. Be sure to use cargo straps to keep the machine in place.
To utilize a pallet jack for relocating a vending machine, one must position it under the machine's base, ensuring even weight distribution. The machine should be lifted gently, just enough to clear the ground, and then carefully guided to the new location.
We hope you found this article helpful.
For more advice and posts on vending, click here to visit our blog.
If you're a business in the Toronto or Greater Toronto Area and would like to have vending services at your location, click here to contact us.
Providing vending services to factories can be incredibly rewarding. Most of these accounts are HUGE, and you’ll be improving the workplace for people who help provide an important service.
However, because of the size and demographic of these accounts, there are some important things to keep in mind.
In this article, we’re going to cover them.
Working at a factory means being in the presence of heavy machinery. As a result, safety gear is a must have in order to provide vending services at these locations. Not only will it reduce the risk of potential injuries, but many managers and supervisors won’t even let you access the machines without them.
The type of safety equipment you’ll need in order to be on-site is going to vary from location to location; however, every location we’ve personally visited has required safety shoes at the bare minimum.
Some other safety gear you might need include:
Some factories might even enforce a certain dress code. One of our locations was at a factory that made paper cups and asked all of its employees to wear hair caps to prevent hair from potentially getting into a cup. As a result, we would wear either a hair cap or a hat whenever we visited this factory to service our vending machines there.
You can find most of this equipment at a store like Home Depot or Uline.
Certain factories might ask you to work-related supplies into your vending machines. Many of these will be some form of safety gear, while others might be even more work-specific equipment such as blades and screws. Depending on how work-specific the supplies are, you might be able to get them to buy these for you, in which case you would have to workout a fair price.
Even if the factory owners never ask, you should still consider putting supplies in your vending machines if you can anyway. It’s a good gesture and the workplace will appreciate your business for it.
Some examples of supplies you can put into your machines include:
Most of these fit into a snack machine fairly easily.
Factories are full of heavy machinery. As a result, they use massive amounts of electricity. This can lead to power surges from time to time that can potentially damage your vending machines.
At Lucky Vending, we have personally had this happen. An electrical surge at a factory resulted in our machines in the breakroom being overloaded. This ended up destroying the motherboard on one of the snack machines and we had to replace it as a result.
We don’t want you to go through what we went through. So we highly recommend using Surge Protectors for all of your vending machines, particularly in factory settings.
A particularly great thing about factories as vending machine locations is that the workers tend to use the machines pretty frequently. Expect to restock a lot of products whenever you make a visit at one of these locations.
Because of the frequent usage however, be prepared to deal with a lot of comments and complaints. If they experienced a problem with one of your products or vending machines, they’ll make sure you know. They’ll also be ready to make suggestions about what they think should be in the machines, and sometimes it will be things that are not possible. We’ve once had a worker suggest we put frozen pizzas in the snack machine.
Some things you can do to best prepare for this:
Commission is a percentage of your profit that you pay back to the factory owner. Not every location will ask for this, but the biggest ones will usually ask you for a percentage.
In the vending machine business, ‘Rent’ often refers to your part of the electrical bill. It’s no secret that vending machines use quite a bit of electricity, and leaving them constantly running can be a significant expense to some companies.
Both of these are things you need to be ready to negotiate with owners about. Work out something that’s fair to both you and the owner. The owner should not be stuck with a massive electricity bill, but they should also not be taking a significant portion of your profit.
Also, this is important:
When discussing commission payments, make sure you’re agreeing with the owner on a portion of your NET PROFIT. Do NOT cut into your gross profit. If you don’t gross enough on a monthly basis, you’ll end up LOSING money after product, gas, and service expenses are accounted for.
We hope this article helps with servicing factory locations in your vending machine business.
Thanks for reading!
For more tips and guides on the vending machine business, visit our blog.
If you’re a factory, a manufacturing plant, or anything in between from Toronto or the GTA and would like a premium vendor to look after your breakroom, click here to contact us.
If you plan on running a vending machine business, you better not be cheap when it comes to buying a Hand Truck. They are the piece of equipment you’ll be using the most on the job BY FAR. Because most of your job will involve transporting snacks & drinks from one place to another, you want one you can rely on.
In this post, we cover what makes a good hand truck, and help you make a choice for yourself.
There are a few things that typically make a good hand truck for a vending business:
A hand truck’s ability to withstand damage is extremely important. The last thing you want is your hand truck falling apart or giving out on you while you’re about to restock a location. Thankfully, snacks and drinks are not as heavy as moving an actual vending machine, so most handtrucks should be strong enough to get the job done.
In general, you want a hand truck with a capacity of at least 400lbs.
Handtrucks will usually have one of two types of wheels:
From our experience, hard solid wheels work better for vending. They can handle more weight, and you have to worry less about what might happen if you run over sharp debris. If you’re using a hand truck with tires in a location such as a factory or manufacturing plant, you might risk the possibility of getting a flat tire, which can be disastrous.
Some handtrucks can fold and become a handcart.
Aside from durability, this is arguably the biggest factor to consider. If a hand truck can do this, you should strongly consider buying it. A hand truck that folds into a handcart is extremely useful when it comes to carrying large amounts of inventory. It’s easier to carry, and easier to maneuver. You also have a smaller chance of inventory falling off your cart if you run into an accident onsite.
Brands change all the time so we don’t want to give any specific recommendations. If the handtruck satisfies the previously mentioned guidelines though, chances are it’s worth the purchase.
We’ve had a lot of good experiences with this particular handtruck though:
You can find a link to buy it here.
We hope you found this guide on handtrucks helpful in choosing the right piece of equipment for your vending machine business.
For more posts on running a vending machine business, click here for our vending blog.
If you’re in Toronto or the surrounding area and would like to get vending services for your business, click here to contact us.
Most people hear about vending machines and envision buying chips with coins. However, there’s another way to buy from a machine: with cash. This is possible if the machine has a bill acceptor installed.
Installing a bill acceptor in your vending machines can provide a number of benefits to both you and your customers. With the evolution of vending machine technology, bill acceptors have become an essential component. They can improve your business's efficiency and profitability.
In this article, we’re going to cover the benefits of installing bill acceptors in your vending machines.
If you're considering installing a bill acceptor in your vending machine, it's important to understand how they work and what features are available.
Bill acceptors work by inserting a piece of paper currency into a slot known as a “bezel”. From there, it scans the bill using various forms of infrared, ultraviolet, and photo-camera technology to determine the type of bill inserted. If it recognizes the bill, it deposits the bill into what is known as a cash box and adds credit to the machine equal to the value of the bill. The machine can then be used to make a purchase.
You can customize bill acceptors to accept different types of currency, including bills of different denominations and from different countries. You can also program some of them to reject counterfeit or damaged bills.
When selecting a bill acceptor for your vending machine, consider the following factors:
Another thing to consider is if the acceptor can accept updates. New versions of paper currency come out all the time and if you can't update the acceptor for them, it will reject perfectly good money.
At Lucky Vending, we have personally seen Bill Acceptors refuse to take the new Viola Davis $10 bill because the acceptors could not recognize them.
If you own a vending machine, you know that it's important to have a reliable payment acceptance system. Bill acceptors are one of the most common payment options in vending machines, and they play a crucial role in making sure that your customers can easily purchase products from your machines. In this section, we'll explore the role of bill acceptors in vending machines and how they work.
Bill acceptors are designed to accept paper currency, while coin mechanisms are designed to accept coins. The main advantage of bill acceptors over coin mechanisms is that they can accept larger denominations of currency, which can be more convenient for customers who don't want to carry around a lot of coins. Additionally, bills are more commonly used than coins in many countries, so bill acceptors can help make your vending machine more accessible to a wider range of customers.
When a customer inserts a bill into a vending machine, the bill acceptor uses a variety of sensors and mechanisms to determine whether the bill is genuine and to calculate its value. If the customer needs change, the vending machine can use a variety of exchange mechanisms, such as a coin dispenser or a bill dispenser, to provide the correct amount of change.
Overall, bill acceptors play a crucial role in making vending machines more accessible and convenient for customers. They allow customers to easily purchase products using paper currency, and they provide a reliable payment acceptance system that can help increase sales and revenue for vending machine owners.
To ensure that your bill acceptor continues to function properly, regular maintenance is essential. Dust and debris can accumulate inside the machine and cause issues with the bill acceptor's sensors. This can lead to the machine rejecting valid bills or accepting counterfeit bills.
To prevent this, it is recommended that you clean your bill acceptor on a regular basis. This can be done using a soft, dry cloth to wipe away any dust or debris that has accumulated on the sensors. Be sure to avoid using any liquids or cleaning agents, as this can damage the sensors and cause them to malfunction. If the acceptor comes with a cleaning card, we suggest using it as well.
In addition to regular cleaning, it is also important to perform routine maintenance on your bill acceptor. This can include checking for any loose or damaged components, such as the bill path or the sensor head. If you notice any issues, it is important to address them as soon as possible to prevent further damage.
By taking these steps to maintain your bill acceptor, you can help to ensure that it continues to function properly and provide a reliable source of income for your vending business.
If you are a vending machine owner, you know that managing overhead costs is crucial to maximizing your profits. One way to lower overhead costs and increase profitability is by installing a bill acceptor in your vending machine. Here are some financial benefits of doing so:
By installing a bill acceptor in your vending machine, you can reduce overhead costs associated with managing and handling coins. With a bill acceptor, customers can pay with larger denominations, reducing the number of coins you need to manage. This can save you time and money on coin counting, sorting, and transporting. Additionally, a bill acceptor can help reduce the risk of coin jams or other mechanical issues that can occur when handling coins.
A bill acceptor can help increase the profitability of your vending machine by making it more convenient for customers to purchase items. With the ability to accept larger denominations, customers are more likely to make a purchase, as they do not need to worry about having exact change. This can lead to increased sales and profits for your business.
Furthermore, a bill acceptor can help attract more customers to your vending machine. Customers are more likely to use a vending machine that accepts bills, as it is more convenient and faster than using coins. This can help increase foot traffic and sales for your vending machine.
Increased Sales
This is a benefit many vendors don’t know about. When a customer uses a higher value bill such as a $10 bill or even a $20 bill, they will be getting a LOT of change they usually don’t want to hold onto. Because they don’t want to hold onto the change, they’ll usually want to get rid of it as soon as possible. This leads to them making additional purchases from your machines using the change they just got.
In conclusion, installing a bill acceptor in your vending machine can have significant financial benefits for your business. It can help reduce overhead costs associated with managing coins and increase profitability by making it more convenient for customers to purchase items.
A vending machine bill acceptor is a device that recognizes and accepts different denominations of currency. It uses sensors to detect the size, shape, and magnetic properties of the bill to determine its authenticity. Once the bill is accepted, the machine can dispense the selected product.
To maximize your vending machine profit, you should consider adding a bill acceptor to your machine. This will allow customers to use cash to purchase products, which is the preferred payment method for many people. Additionally, you can stock your machine with popular products and place it in a high-traffic area to increase sales.
To add a credit card reader to your vending machine, you will need to purchase a compatible reader and install it in your machine. Many readers can be easily installed by following the manufacturer's instructions. Once the reader is installed, you will need to set up a merchant account to process credit card payments.
Installing a bill acceptor in your vending machine can provide several benefits, including increased sales, improved customer satisfaction, and reduced maintenance costs. By accepting cash payments, you can attract more customers who prefer to use cash. Additionally, bill acceptors can help reduce the frequency of coin jams and other maintenance issues.
If your bill acceptor is not accepting bills, you should first check to make sure that the bills are not counterfeit or damaged. If the bills are in good condition, you may need to clean the sensors or adjust the calibration settings. You can consult the manufacturer's instructions or contact a professional technician for assistance.
Conclusion:
We hope you enjoyed this article on Bill Acceptors!
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Over the years, we have been moving more and more towards a cashless society. The vending machine industry is no different. Card readers have become increasingly common.
If you visit any establishment with enough foot traffic to warrant vending machine services, you’ll often notice they’ll offer the option to pay by card. Many vendors have even started using them as a selling point.
But is having card readers in your machine really that much of an advantage? The short and simple answer is yes.
In this article, we’ll explore the numerous benefits that come with adding card readers to your vending machines, ranging from cost-efficiency to improving overall customer satisfaction.
Investing in card readers for your vending machines can significantly decrease your operational costs. Cashless transactions reduce the need for regular cash collection, counting, and depositing. It also reduces the risk of theft or vandalism targeting cash stored in the machines. Unless someone has direct access to your account, there’s no way for them to steal money as a result of card reader sales from you. As a result, you save both time and money that could be better spent on other aspects of your business.
Card readers are relatively low maintenance compared to traditional coin and bill acceptors. Coin and Bill acceptors need to be cleaned on a regular basis, otherwise the sensors can stop recognizing money and start affecting your sales. With card readers, there is a lower rate of mechanical failure, which means fewer service calls and repair costs. In addition, modern card readers often come with features like firmware updates and self-diagnosis capabilities, enabling you to troubleshoot and solve minor issues without the need for a technician. You will on occasion run into problems with your readers (like anything machine related, they break down too), but it is significantly less frequent compared to acceptors and coin mechs.
Accepting cashless payments with card readers can lead to a boost in sales for your vending machines. On average, installing readers can increase your sales by over 30%.
This is because customers who aren’t carrying cash can still make purchases at your machine using debit or credit. Customers using cards are also more likely to spend than if they were to use cash. This is because, according to a study, spending money using a card is significantly less painful compared to spending cash. This, in turn, translates to greater profits for your business.
By considering the aspects mentioned above, integrating card readers into your vending machines is a cost-efficient decision that will bring convenience to your customers and advantages to your business operations.
Offering card readers in your vending machines provides a more convenient experience for your customers. As mentioned earlier, many people nowadays carry cards or make digital payments instead of cash, making a card reader an essential feature for modern vending machines. By installing card readers, you are catering to the needs of a wider audience and increasing the likelihood of making a sale. Studies have shown that offering a variety of payment options can lead to total sales growth of up to 42%.
With a card reader, the transaction process is faster than traditional cash and coin payments. Customers simply tap or swipe their card, and the transaction is completed within seconds. This increased speed of service not only improves the customer experience, but it also increases the turnover rate of your vending machine, since customers can make their purchase and move on quickly. Vending machines equipped with card readers can accept all major credit cards, as well as mobile payment options, further streamlining the payment process.
Integrating card readers into your vending machines also reduces the risk of theft and vandalism. Since there is less physical cash and fewer coins in the machine, the incentive for criminals to break into the machine is significantly reduced. Additionally, digital transactions are more secure and traceable, which not only provides more peace of mind for customers, but also aids in loss prevention for your business. You also don’t have to worry about counterfeit money somehow getting into your machine.
These days, consumers increasingly prefer contactless payment options. By installing card readers with tap-to-pay features in your vending machines, you make the purchasing experience more convenient for your customers. This not only increases customer satisfaction but also encourages impulse purchases, ultimately boosting your sales. In addition, contactless payments provide a safer and more hygienic option, especially during times when cleanliness is of utmost importance.
With the widespread adoption of EMV chip cards, it is crucial for your vending machines to be compatible with this technology. EMV chip cards offer a higher level of security compared to traditional magnetic stripe cards, reducing the risk of fraud. By incorporating EMV chip compatibility into your card readers, you are providing a more secure payment solution for your customers and protecting your business from potential fraudulent activities.
Another advantage of card readers in vending machines is their ability to integrate with operative systems. This enables you to monitor sales, track inventory, and collect valuable data on customer preferences. You can use this information to optimize your product selection, pricing strategies, and even adjust your machine's location if necessary. Moreover, integration with operative systems allows you to streamline the restocking process, minimizing downtime, and ensuring your customers always have access to their favorite products.
By upgrading your vending machines with these features, you are not only meeting the evolving demands of consumers but also staying ahead in the competitive market.
Utilizing card readers in your vending machines provides numerous advantages, with one of the most significant being the enhancement of data collection and reporting. By monitoring and analyzing this data, you can make informed decisions to maximize profits and improve customer satisfaction.
One of the key benefits of using card readers is their ability to generate automated reports. With a reliable Vending Management System (VMS) in place, the process of data reporting and analysis becomes more streamlined. Various aspects of your vending machine business, such as sales, inventory, and customer preferences, can be evaluated via these reports, enabling you to make data-driven decisions for optimization.
Another advantage of credit card readers is their potential for improved sales tracking. As customers increasingly adopt cashless payment methods, card readers prove essential to capturing and analyzing detailed sales data. You can monitor product performance in real-time, allowing for better inventory management and targeted marketing strategies.
In summary, integrating card readers into your vending machines offers valuable data collection and reporting capabilities. Automated reports and enhanced sales tracking empower you to make informed decisions, leading to a more successful and customer-focused vending machine business.
By installing card readers in your vending machines, you are offering customers a variety of payment options, making the purchasing process more convenient. With card readers, customers can use credit and debit cards, mobile wallets, and contactless payments like Apple Pay and Android Pay, ensuring that they can make a purchase even if they don't have cash on hand. Additionally, providing multiple payment options can lead to an increase in sales, as some customers may decide to indulge in a snack or drink due to the ease of payment1.
Equipping your vending machines with card readers not only meets the current demand for cashless payments but also future-proofs your business. Society is continually moving towards new payment methods, and staying ahead of these trends can help your business remain competitive. By embracing cashless payment options now, you'll be better prepared to adapt when new technologies emerge, seamlessly integrating these innovations into your vending machines. This adaptability can ultimately lead to long-term success for your business, as your machines are equipped to cater to evolving customer preferences.
From our experience at Lucky Vending, the best brand for card readers is Nayax by far. They have been in the world of cashless payments since 2005 and make high quality readers. On top of making reliable products, they also offer an analytics platform that allows you to track the sales of your machine on a granular level, down to the time when people buy from it the most.
At the time of writing this article, Nayax’s flagship product for vending machines is the VPos.
Card readers encourage customers to make purchases by allowing them to use credit and debit cards, making transactions faster and more convenient. Research has shown that people tend to spend more when using a card rather than cash, leading to increased sales for vending machines equipped with card readers.
Card readers make transactions easier for customers who may not have cash or coins readily available. By offering multiple payment options, including contactless payments, your vending machine becomes more accessible to users. Card readers also speed up transactions, providing a seamless experience for busy customers.
Card readers are equipped with various security measures to reduce the risk of fraud and data breaches, such as encryption and tokenization, ensuring that sensitive payment data is safe. By reducing the amount of cash stored in the machine, card readers also minimize the risk of theft and vandalism.
While there is an initial investment required to install card readers, the long-term benefits often offset the costs. In addition to increased revenue through higher sales, card readers can also help reduce cash handling costs, decrease machine downtime due to coin jams, and potentially attract more customers due to the ease of use and convenience factor.
Card readers require ongoing maintenance to ensure they function properly, but this is typically minimal compared to the upkeep required for cash and coin mechanisms. Routine software updates and occasional hardware replacements may be needed, but overall, card readers can reduce the time and effort spent on maintaining your vending machines.
Before installing a card reader, it is essential to confirm that it is compatible with your vending machine model. Most of the time, this will just involve the machine being MDB. You can consult the manufacturer's documentation or customer support for specific compatibility information. Make sure to double-check all connections to ensure they are secure and properly connected.
We hope you found this blog article useful in understanding the benefit of installing card readers in your machines.
Check out our Vending Blog for more quality articles on running a vending machine business.
If you’re a business in Toronto or the surrounding area and would quality vending machine services for your business, click here to contact us.
In today's fast-paced corporate world, employees often find themselves overwhelmed with work, leaving little time for relaxation and rejuvenation during the workday. However, one often underestimated solution to this problem is the introduction of vending services in the office. Vending services offer a convenient and accessible way for employees to make the most of their break time.
In this article, we'll explore 5 compelling reasons why your office should consider integrating vending services.
Workplace stress and burnout are on the rise, and employees are seeking ways to unwind and recharge during their hectic workdays. One solution that can significantly contribute to this is the introduction of vending services in your office.
In our fast-paced work environments, employees often neglect the importance of taking regular breaks. By providing vending services, employers can encourage their staff to step away from their desks and take a moment to relax. This can lead to improved morale and increased productivity.
Vending machines today can offer a wide range of healthy snack options, if you want to promote healthier choices. According to a study, offering healthy snack options can be an effective way to tackle obesity. By offering nutritious choices, employers can help their employees make better dietary decisions, leading to improved energy levels and overall health.
One thing to note though is to ensure the vending service is transparent on their healthy choices. Many snacks that are branded as healthy such as Granola bars can have as much sugar as a can of Pepsi. Because of this, the vendor should not be marketing healthy products to you unless they're going to be completely honest. At Lucky Vending, while we offer healthy snacks, we also make sure we're completely transparent with offices and related establishments on the true nutritional value of "healthy products".
Vending machines are accessible around the clock, allowing employees to satisfy their cravings and refuel at any time of the day or night. They're also in close proximity. This gives them a major advantage over convenience stores or even gas stations, which need human interaction and involve workers leaving the building.
With vending services on-site, employees can save valuable time they might otherwise spend going off-site in search of snacks or drinks. This translates to more time spent on work-related tasks.
By hiring a vending service, you'll have someone maintaining and restocking the machines for you, so you would never have to worry about having to fix any arising problems on your machine.
Modern vending machines are also equipped with card readers that notify the vending services whenever a certain selection is low. This can help ensure that your workers will always be able to get the snacks and drinks they want without having to ask for a restock.
Vending services can be tailored to suit your office's specific needs. Whether you want to focus on healthy snacks or have specific demands from your workers, customization options are available to fit your budget and preferences.
By offering a selection of wholesome snacks and beverages, employers can encourage their employees to make healthier food choices. This can lead to reduced absenteeism due to illness and increased overall wellbeing.
Taking short breaks to visit the vending machine gives workers a chance to step away from their desks, which can help reduce stress levels. A quick snack or beverage break can provide a moment of relaxation and rejuvenation, helping employees stay focused and positive.
Vending areas often become gathering spots where employees can interact and build relationships. These informal settings foster teamwork and a sense of community among colleagues.
Integrating vending services can be seen as an investment in your office culture. It shows that you care about your employees' needs and well-being, which can enhance overall job satisfaction and loyalty.
Incorporating vending services into your office can be a game-changer for both employees and employers. It boosts morale, productivity, and overall well-being, all while fostering a sense of community and reducing stress. So, don't underestimate the power of a well-placed vending machine.
If you're in Toronto or the surrounding areas and would like to upgrade your work setting with full-line vending services, click here to contact us.
If you're looking to start a vending machine business, there are two ways to grow it: Reaching out to businesses and convincing them to let you put machines in them, or Buying a vending machine location.
Both methods have their own advantages, but in this article we're going to cover how to buy a vending location.
Buying a vending machine location with machines already placed in them has numerous advantages over trying to secure a location of your own.
There are so many in fact that unless you’re on a tight budget or want to go through the full experience yourself, it’s your best bet at growing a successful vending machine business.
Some of these advantages include:
If you’re trying to place vending machines on your own, it’s not enough to find a good establishment for them; you also have to convince the decision makers to bring you onboard.
This is the hardest part of vending for most people. Doing sales can be uncomfortable, especially when you’re knocking on doors and doing cold calls to get them. But when you buy a location, you get to bypass this struggle and get to the fun part: serving customers and running your business.
Moving is arguably the most stressful part of the business. Vending machines are VERY heavy and VERY easy to damage during the moving process. It’s not a one-person job. Not to mention you need special equipment to effectively move them.
By buying a vending machine location though, you won’t have to go through this struggle because the machines will already be on-site and working for you.
Securing locations can be risky because you never know if the place is actually going to be profitable or not. Even with a high amount of foot traffic, you can still end up with machines that rarely get used.
At Lucky Vending, we’ve had this happen on a few occasions. In one instance, we secured an office with a headcount of over 200 people. On paper this looked to be a very profitable account for us. However, due to Covid-19 restrictions, most of the workforce opted to work from home and the machines barely got used.
But when you buy a vending machine location, there’s no guesswork involved with knowing how much money you expect to make every month because the previous owner will provide you with the details. They’ll tell you the annual revenue of the location, and you can use that information to make a decision. Just be sure to confirm the earning potential, as this part of the process is very ripe for scams and misleading claims.
Customer service and reputation is an important part of maintaining a vending machine location. You want to make sure the people buying from you trust you and are happy with your service. If you’re just starting out, this can take time to build. And in the time that it takes to build, people can abuse your machine or disrespect you.
When you’re buying a location though, you’re usually going to be doing it from a company the establishment has already grown to know and trust. If they were in good standing with the company, you’ll usually be in good standing as well by association.
In summary, there are many advantages to buying a vending location over trying to place the machines yourself.
There are generally two places you’ll find vending locations available for purchase:
There are advantages and disadvantages to both methods, and we’re going to cover them.
Sites like Facebook Marketplace are full of vending machine locations for sale. Most of the time they’ll be from individual people who got into the vending business and are looking to get out of it, although you’ll sometimes come across postings from actual vendors as well
Marketplaces can be a goldmine for cheap locations. Not just that, but you can often haggle with the owner and secure them at an even lower price. Most people selling their locations are trying to exit the business entirely, so they’re willing to accept lower offers if you show enough buyer intention.
Another advantage of buying off marketplaces is that since you’re usually dealing with individual people, there’s significantly less paperwork involved. Most of the time you won’t be buying off established businesses or companies, so you don’t have to deal with any legal formalities. In a lot of cases, you can even pay cash.
One of the biggest disadvantages of buying from online marketplaces is the lack of proper regulation. Because anybody can put up a listing, you have to exercise caution and audit locations thoroughly, as marketplaces can be ripe for scams and deception.
You can find locations that don’t make as much money as advertised, or have machines that need significant service. Sometimes, you’ll even find locations in terrible standing with management.
When we were new to the business, we bought a retail break room location off of a marketplace. Retail break rooms are typically locations you want to avoid, but this was for a clothing store with over 60 workers, so we decided to make an exception.
When we took over the location, not only did it actually make ZERO sales, but many selections didn’t work and the vendor had a reputation for putting expired product. The only reason it was even still there was because nobody tried to take over. Once we took over the location, we let the owner know it was under new management. It took a lot of work to earn the trust of the people, but we were able to make it profitable.
Outside of the lack of regulation, you’ll typically find that the locations for sale are typically small accounts. It’s rare that you’ll be finding the types of places that make for prime vending locations. Because of this, Marketplaces are usually best for people who want to try vending as a business before they really make the decision to get invested.
You can also buy vending machine locations from other vendors. Most vending machine businesses have locations they’re looking to sell. They might be selling it for a multitude of reasons, but a lot of time it’s because they can’t give the location the attention it deserves anymore.
Because you’ll be getting them from other vendors, don’t expect to find the locations on Marketplaces. You can find them by contacting vendors in your area, or by consulting directories such as Vending Connection, which offer ad placements for a price.
Buying from other Vendors has a lot of advantages.
For one, you can trust that the location will be as advertised. Because you’re dealing with an actual business, you’re more likely to be dealing with someone who’s trustworthy. Businesses can be ruined by a bad reputation, so they don’t want anyone to be able to say they were being dishonest.
Another advantage is that it will typically be a location of higher quality. Professional vendors are able to secure more profitable locations, so you can expect to see a decent cashflow from the locations you buy from them. You can expect fully functioning machines and a good relationship with the owner of the establishment. And if there isn’t for any reason, the vendor will usually notify you upfront.
If you’re lucky, some vendors will also have guarantees on their machines that you’ll take over should you choose to buy the location from them. This guarantee can include free service calls, and even machine replacements.
Hands down the biggest disadvantage of buying a location from another vendor is going to be the price. Many of their locations are priced to profit and because you’re dealing with someone with more experience, you can’t expect the type of firesales you can find on online marketplaces.
If you can figure out the profit margins of the locations they’re trying to sell though, you can often negotiate for a better price where both you and the vendor can walk away happy.
Another disadvantage of buying from other vendors is that they won’t advertise every location they have for sale to you. They understand that their reputation can be at stake even after exiting, so they won’t give them up to just anyone. Oftentimes they’ll also be selling to multiple businesses, so they can have a preference in terms of who to sell to. This can work in your favor though, as if a vendor exercises this type of caution, you can expect the locations they offer to be solid.
Buying from a marketplace and buying from a vendor both have significant advantages and whichever you choose is going to depend on your budget and your risk tolerance. If you have a small budget of less than $5000, your best bet will often be marketplaces. If you have a budget of more than $5000 and don’t want to take risks, your best move will be to build a relationship with a vendor and buy a location from them.
Buying a vending machine location is fairly straightforward and follows the same process whether you’re buying it from a vendor or an individual. You want to inquire about the location, discuss payment, and buy.
Whether it’s a vendor or a marketplace posting, you want to reach out and ask about the location.
In particular, you want to know:
If the location and price is of interest to you, the next step would be to meet up and have a look at the location.
If the location and price of the vending machine location looks okay to you, you’ll want to have a look at the location in person.
Arrange for a time to meet with the owner and visit the location. If the owner has been in vending for a while, they will probably want you to give them a small deposit beforehand. Don’t worry, this deposit is 100% refundable. Vendors do this just to ensure you’re actually interested in buying the location and not a tire kicker.
When you visit the location, make sure you take note of the building and the machines.
In particular, you want to know:
It’s especially important to make sure the location & machines are as advertised. You don’t want to run into a situation where you end up taking on a location only to find out the machines are malfunctioning the headcount is lower than the owner said.
If everything seems in order to you, the next is to discuss payment.
If the location looks like a winner to you, the next step in the process is to make a deal.
In particular, you want to discuss:
Buying locations for the advertised price and keeping all of the equipment is standard.
Locations are usually priced at 12x the monthly gross profit. For example if a place is making $2k/month, you can expect the owner to ask for about $24k.
We’re gonna let you in on a price negotiation secret though:
Most vendors operate on a 50% margin. So if a location is advertised at $24k like in the example above, they’re most likely netting about $12k a year from the location. Vendors are usually willing to go lower than the gross revenue, but not the net revenue. If you make an offer between those two numbers, you can potentially walk away with a location at a solid discount.
After successfully negotiating a deal with the owner of the location, the next step is to go through the process of taking it over.
The first thing you want to do is sign an agreement with the owner. This is very important. You want to make sure you get the acquisition in writing. Most vendors will already have contracts ready for you, but if the owner doesn’t, a simple paper signed by both parties outlining the details of the transaction will do. Make sure you have receipts of any and all payments you carry out as well.
The next step is to meet with the vendor and have them take all the money out of the machines. This includes money from any sales and the change from the coin mechs. You will then be filling the coin mechs with your own change. The reason for this step is to ensure the true value is being transferred, and to avoid any potential legal problems associated with buying and selling money.
If any equipment/product is not included in the deal, the next step would be to remove them with the vendor. You would then be replacing them with yours.
The final step is to take the keys to the machines. If there are any keys associated with the location (ie. FOB keys to get in after hours), make sure you get them too.
Congratulations, you are now the new owner of a vending location!
A vending machine route is basically a group of vending machine locations. They can be all along the same road, or in the same general area. Routes are typically sold by vendors looking to exit the business or size down.
Buying a route can be a great way to get started full time in the vending business. You wouldn’t just be servicing a machine or two on your downtime - you would have a whole fleet of them making money for you. It’s a good way to grow your business overnight.
The buying and selling process is similar to buying an individual location, except now you would be buying more than one for the advertised price. So instead of looking at one location, you would now be looking at and paying for however many are advertised.
Some vendors are also open to only selling parts of their location. In this case, you would only be paying for the locations you and the vendor agree on.
Either way, buying a vending route is another great way to grow your business.
We hope you found this extensive guide on buying vending machine locations useful!
For more guides and tips on the vending machine business, visit our Vending Blog.
If you’re a business in Toronto and the surrounding areas looking for quality vending services, click here to contact us.
Till next time, good luck!
If you’re running a vending machine business, you better understand the needs of your location if you want to be successful. This is especially the case with snack machines.
Most people will still buy from a soda machine even if it doesn’t have anything they like if they’re thirsty enough. But when it comes to snacks, if you don’t have anything of interest, it will stay on the shelves until you have to swap it out.
In this article, we’re going to cover all the snacks you should be putting in your snack machines.
Chips are a classic vending machine snack that does well in any location. The profit margin typically won’t be as high as other snacks, but it makes up for this in volume. Here are some popular chip options to consider:
When selecting chip options for your snack machine, it's important to consider the preferences of your target audience. If you're placing your machine in a school or office setting, you may want to consider offering healthier options like baked chips or veggie chips. Additionally, be sure to include a variety of flavors to appeal to different tastes. If you’re not sure what your crowd is into though, always resort to the classics.
Overall, chips are a snack machine staple and a must stock.
Chocolates are another popular snack choice for vending machines. They sell well, and have higher profits than chips. Here are some of the most popular chocolate options that you can consider stocking in your vending machine:
Hershey's chocolate bars are a classic choice that many people love. They come in different sizes, although you’ll typically be putting the standard 1.55 oz bars in your machines. You can also choose from different flavors, such as milk chocolate, dark chocolate, and cookies and cream. From our experience, the most popular bar is cookies and cream.
Statistically, Snickers bars are the most popular chocolate bar. Not having these in your snack machines is a major disservice to your business and your location. Make sure these are stocked regularly.
Kit Kat bars are another big hit. You’ll usually be stocking the standard 1.5 oz bar. Kit Kat Chunky does well in most locations as well. Kit Kat bars also come in different flavors, such as dark chocolate and white chocolate. These flavors can be hit or miss, so we recommend testing them out before you make them a default snack at your location.
After Snickers, M&M's are the second most popular chocolate. Peanut M&M’s typically do better than regular M&M’s. Another great thing about M&M’s is that you can stock them year-round without worrying about them melting or getting “the bloom”.
Reese's Peanut Butter Cups are another staple. These typically do very well, and you would have to be crazy not to include them. If your location has a lot of concerns surrounding peanut allergies though, make sure to check in with them before adding these to your machine.
When choosing which chocolates to stock in your vending machine, make sure to consider your target audience and their preferences. You can also rotate your selection periodically to keep things interesting and offer variety.
Candy might not be as popular as Chips or Chocolate, but can still do pretty well depending on the location. Here are some of the most popular candies:
When choosing candy for your vending machine, it is important to consider the preferences of your target audience. You may also want to consider offering a variety of options to cater to different tastes. Keep in mind that candy can be high in sugar and calories, so it is important to offer healthier options as well.
Gum is a great item to have in vending machines. It offers a quick and easy way to freshen your breath. The profit margins are significantly higher than Candy & Chocolate as well.
When choosing which gum to stock in your vending machine, it's important to keep in mind your target audience. If you're placing your vending machine in an office setting for example, mint flavored gum would usually be the best choice. If you’re putting your vending machine in the presence of a younger crowd, you might see success with adding fruit flavored gums as well.
Pastries are a great option for vending machines. Not only do they sell well, but the profit margins are solid as well. Best of all, because they’re more filling than a chocolate bar, there are people who will treat them like part of a meal.
Here are some of the most popular pastries to put in your machine:
When putting pastries in your vending machine, be sure to consider the best before date of each item. Pastries don’t have the shelf life of other snacks and you don’t want to risk having someone buy stale or expired pastries.
Healthy Snacks are becoming more of a popular thing every year. Some locations will ask you to include them, while other locations will have them as a requirement.
Healthy snacks provide their own set of unique challenges: they’re more expensive, they have shorter shelf lives, and most of the people that ask for them will never actually buy them. This doesn’t even account for the fact that most “healthy” snacks aren’t really healthy at all!
However, you should still put them in your vending machines whether or not the locations asked you to. Some people at every location really are trying to watch what they eat and the last thing you want is to lose sales because you don’t have anything that’s low-fat or sugar free.
Here are some Healthy Snack options you can consider putting in your machines:
In our professional opinion, Nuts are the best healthy snack to put in a machine. Not only do they sell well, but they’re also the most “Healthy” option. Almonds and peanuts usually do well with older crowds and health nuts (no pun intended).
These can do okay if you have the demand for them. Companies like Terra sell chips made from vegetables like Yam and Taro that tend to do well among people trying to watch what they eat. You’ll have to price them higher to get the same profit margin from regular chips though which might put off some people.
Protein bars do really well at vending locations that have a fitness crowd. Places like Rec Centres, Gyms, or Workplaces with an office nearby. If there’s any trace of a workout culture at your location, protein bars are a must have in your snack machines.
By offering a variety of healthy snack options, you can attract customers who are looking for a quick and convenient snack that won't derail their diet. Consider adding some of these healthy snack options to your vending machine to appeal to health-conscious customers.
Microwaveable items are perfect for vending machines that are located in places like offices or anywhere that has workers present at all hours of the day. Many of these items make for quick lunches, and it’s easy to have people at a location that buy them on a regular basis.
Some microwaveable items you can put in your snack machine include:
When it comes to microwaveable items you can add to your vending machine, Instant Noodles are a staple. They’re easy to stock and sellable at a good margin. The people who buy them will appreciate the fact that they’re available as well. You can choose from chicken, beef, shrimp, and vegetable flavors. Make sure the vegetable flavor is always available for the vegan/vegetarian crowd.
Microwaveable popcorn is another staple in snack machines. They’re easy to stock and have good margins as well. They’re particularly popular in office locations although some small retail breakrooms will enjoy them as well.
Mac and cheese is a classic comfort food that can be prepared in just a few minutes. You can choose from a variety of flavors, including traditional, white cheddar, and bacon. Mac and cheese is a great option for people who are looking for a quick and easy meal.
Rice bowls are a great option for people who are looking for a more substantial meal. You can choose from a variety of flavors, including teriyaki chicken, beef and broccoli, and vegetable fried rice. Rice bowls are easy to prepare, and they are a great option for people who are on the go.
In addition to the popular snacks mentioned earlier, there are a few non-snack items that you may want to consider including in your vending machine. These will mostly be dependent on the location, and in most cases you won’t ever be adding them.
Some miscellaneous items include:
Most of the time, Miscellaneous items are location specific and mainly added to meet the demands of the location. It shows the location that you are going above and beyond for them, and they will appreciate your services greatly.
We hope you found this guide useful!
Snack machines can be more complicated in terms of what you can provide for your customers, but as a result there are more ways for you to satisfy them.
If you own vending machines, feel free to check out our vending blog for more tips and advice on running a successful business.
If you own a building in Toronto, Ontario and would like to have top of the line vending services at your establishment, visit our website and contact us.
Till next time, good luck!
